Wondering How to Get Rid of Your 2000 Currency Notes? Here’s How People Are Doing It!
The flocking at the bank branches like 2016 is going to be a rare sight as customers prefer retail shops to deposit the largest denomination notes.
In an effort to avoid having to convert or deposit the soon-to-be-removed 2,000-rupee notes at banks, people are increasing their purchases of daily necessities and even high-end branded products. The largest denomination currency in the entire country will be removed from circulation by the end of September, the Reserve Bank of India announced on Friday.
While the move’s motivation was not made clear, observers noted that it came before the country’s state and general elections, when expenditure of cash is known to surge, frequently in unreported transactions.
Since the weekend, individuals have flocked to stores to spend their 2000-rupee notes in order to avert the trouble of standing in line at banks to convert them or attracting attention from the tax agency by depositing significant amounts. Buying mangoes using the 2000-denomination notes has increased unexpectedly.
“A lot of people are using 2,000-rupee notes to pay for mangoes since Saturday,” said Mohammad Azhar, 30, a mango seller in Mumbai.
“On a daily basis, I get 8-10 notes now. I accept it. I have no option, it’s my business. I will deposit everything at once before September 30. There is no fear since the note is valid,” he added.
Or a Rado!
The manager of a Rado store in an outlet mall in the heart of Mumbai reported a 60%–70% surge in 2000-rupee notes after the announcement of the pull-out. On Monday, the food delivery service Zomato tweeted that since Friday, 2,000-rupee notes have been used to pay for 72% of the “cash on delivery” orders.
Not every shopkeeper, though, was as open to the notes.
“I don’t accept; I won’t accept. I don’t want to get into the trouble of depositing it with my bank,” said a restaurant owner in South Mumbai.
A quiet day at the banks
Bank locations in Mumbai and New Delhi were mainly quiet, with only a few individuals waiting in lines, in contrast to 2016, when clients flocked to banks to swap the currency notes that were being phased out. 86% of the currency was eliminated overnight in 2016.
The State Bank of India, the largest lender in India, saw the heaviest line-ups at its counters since the bank decided not to demand any paperwork for exchanges of up to the maximum permitted 20,000 rupees at a time.